Are Domestic Cars Affected by the Chip Shortage?

[LeKai]

Domestic cars are also affected by the chip shortage. Here are the reasons for the shortage of automotive chips: Impact of the pandemic: In recent years, the global chip industry has been relatively conservative in capacity investment, and the imbalance between supply and demand had already begun to show before the COVID-19 pandemic. The pandemic has further exacerbated the cautious approach to capacity investment. Impact of 5G: Driven by the development of 5G technology, the demand for chips in the consumer electronics sector has increased rapidly this year, posing challenges to chip production capacity and diverting some of the automotive chip supply. This trend may further intensify in 2021, while many chip manufacturers are cutting necessary capital expenditures for the automotive industry, raising prices, and reducing production quotas for automotive chips.

[Judith]

As a veteran auto repair technician, I've witnessed firsthand how domestic car brands have been severely impacted by the chip shortage over the past two years. Many customers come in with electrical system failures - like vehicles that won't start due to ECU module shortages, forcing them to wait days for replacement parts. This global chip crisis has hit everyone, and while Chinese automakers are trying to use domestic alternatives, the quality and stability just aren't keeping up, driving repair costs skyward. I once encountered a domestic SUV with a faulty smart control board that took nearly a month to get replacement chips. My advice? During routine maintenance, pay extra attention to electronic control systems - don't wait until major problems arise. This chip shortage has exposed vulnerabilities in domestic automakers' supply chains, and ultimately, only technological advancement can truly mitigate these risks.

[LeManuel]

As an automotive enthusiast who closely follows the development of domestic vehicles, I've observed the significant impact of the chip shortage. Last year, when test-driving a newly launched Geely model, the delivery was delayed due to supply chain shortages. Many new features, such as advanced driver-assistance systems or smart cockpit systems, have been postponed, and sometimes their functionalities are limited. This global shortage has served as a wake-up call for the industry, prompting domestic brands to increase investment in self-developed chips. For instance, Chery has introduced its own independently developed control units. As a buyer, it's now necessary to be more patient when purchasing a car and to be flexible with configuration choices. In the long run, this situation may drive greater independent innovation in China's automotive sector.

[StBeckett]

I recently bought a domestic electric car, but the delivery was delayed for several months due to chip supply issues. The salesperson mentioned that production lines often halt, as manufacturers prioritize the supply of core components. The overall driving experience is decent, but the infotainment system occasionally lags, likely due to unstable chip quality. I heard that last year, domestic car production shrank by 10% because of this, with many models seeing reduced output or price hikes. Now, I'm extra cautious about system updates while driving to avoid triggering malfunctions. I hope the chip supply recovers soon to spare more car owners from these troubles.

[McPeter]

From the perspective of the automotive industry, domestic car production has been significantly impacted by the chip shortage. Amid the global shortage, Chinese automakers rely on imported high-end chips for electronic control and autonomous driving, leading to production line delays and increased costs. Data shows that production capacity losses reached as high as 15% in 2021, with companies like BYD experiencing extended production cycles. Fortunately, the government is promoting local chip manufacturing, and some brands have switched to domestic chips to reduce costs. The situation is expected to improve in the next two years, but supply chain risks remind us of the need for backup strategies. Consumers face longer wait times for vehicle purchases and potential feature limitations.